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In his spare time, Steve Haid likes to do what all his neighbors living in the Muskoka Lakes area do. If it’s summer, they enjoy all the watersports activities on the lake. Winter is the time for ice fishing or snowmobiling. The seasons in between and especially the Fall, are available so people can enjoy the area’s natural beauty.
When he’s not living the Muskoka dream, Steve Haid is one of the district’s best-known and most recognizable real estate agents. Being the managing partner of his office and manager of real estate agents in his brokerage, he knows the market in and out. So when he says that Muskoka real estate is a significant investment, he knows what he’s talking about.
“There’s been a lot of talk about celebrities who have properties here and sightings of people like Mark Wahlberg or David Beckham on the weekends,” he says. “Kurt Russel, Goldie Hawn and other celebrities have property close to my Muskoka lakehouse. But it’s not the star power that should attract people to buy real estate here. Instead, it’s the fact that celebrities know how to invest money well, and if they’re here, that’s because they’re onto something.”
The apparent appeal of Muskoka real estate is the beauty of the region and its fantastic locations. The lakes and the surrounding areas present an endless source of activities during the warmer and colder months. The community is bustling but still small enough to keep a sense of privacy, and nature is stunning any way one turns to look.
The cottage country, as the region is called, is close to big cities. It’s a popular vacationing area for people from Toronto for a good reason – Muskoka is just two hours north of the city and well-connected, so it’s not a chore to get there.
The properties are a curious mix of old and modern, with Muskoka’s unique twist. “There are old and newly built cottages and homes, as well as those that are old but have been extensively updated – just like how I renovated my 130-year-old lakehouse while keeping the old Muskoka charm,” Steve Haid explains. “The picturesque and unique boat houses make these properties different from anywhere else in the world. Cottages in the area can range from small waterfront properties to extensive luxury lakefront mansions.”
Regarding property values, Steve Haid mentions that Muskoka properties tend to hold and increase in value. Like most of Canada, the region needs more new developments due to increasing population growth and high demand. It’s typically a seller’s market because the people who decide to sell can do it at higher prices. At least, that’s who it’s been for a hot minute.
“The prices rose too fast over the past couple of years, and we’re looking forward to a more balanced market,” he explains. “It’s always a great time to invest in Muskoka property, but the next year or so will become especially interesting since the market is turning more in favor of the buyer. I know I’ve been finding and buying up properties at great prices for most of my clients. And it might potentially become an even better investment.”
The people who want to rent might also consider Muskoka an excellent investment. Tourism is a vital industry in the area, and hundreds of thousands, even millions, of tourists flock to cottage country yearly.
“Investors who buy properties here and rent them on short-term bases can achieve very high rates of return,” Steve Haid Explains. “You can typically buy a waterfront property, spending anywhere from a million to several million dollars, and you’re looking at around eight to ten percent capitalization rates when renting the property with short-term revenue streams like Airbnb . You have then earned a great return on your real estate investment and can use the cottage property the remainder of the year for free.”
Americans are especially interested in Muskoka properties, with the exchange rate benefiting them. It’s almost as if they realized, Steve Haid says, that they can have these excellent properties in one of the best parts of Canada and enjoy a break from whatever reality they usually inhabit.
“We saw that during COVID especially – people were desperately trying to break free from the big cities and come to places that offered more freedom where they could work remotely,” he explains.
When it comes to the type of service they can expect, Steve Haid says that all of them should know that there’s not even a need to go here to purchase the property. Instead, as part of his white glove services, Steve Haid can organize virtual tours of properties and perform his due diligence in ensuring the property doesn’t look good just on paper.
“People will buy properties unseen, even though it’s always better to see a property before buying it,” he says. “Most of my clients don’t live in Muskoka so they trust me, whether buying or selling, to handle the real estate transaction from start to finish. In the end, I only get to be happy if they’re happy, too, so I do what’s in my power to get everyone what they want.”
